The official start of the bubble burst will begin

[no_such_reality]

Where do you park your money during the interim?

Anywhere I want. 🙂

I’m not out because I’m attempting to time the market, I’m out because when I sold, I got disgusted with the competition and thought the prices were insane. Then they went up some more.

When I look around Irvine, Huntington Beach and see pretty standard tract homes with $1.1 Million price tags on them, and it’s all regular middle class families, it’s “just not right”.

I was looking for a modest 3/2 (just like everybody else), they were $799,000 and gone in a day. Once you break the “I want” stranglehold on your emotions with housing, the compromise becomes much easier.

My alternative, while not a 3/2 with a quaint yard, was to split a dual master bedroom townhome with a friend, a mile off the beach, in a complex with three pools, sauna, 2 tennis courts, 2 car garage, etc. Yep that’s a big difference. A roommate, townhome, I wanted an SFR and no roommates. You may wonder what could possibly make giving up what I wanted tolerable. The answer is simple.

My half the rent is 1/6th of the mortgage and tax payment of trying to buy something I wanted. Plus I have someone to pick up half the utilities!

Granted, my income tax bill sucketh. However, since I don’t have a fat mortgage payment, I can pretty much fly off any weekend I feel like getting out of town.

When buying that 3/2 or a larger 4/3 becomes closer to comparable rent, I’ll get going and not worry about the bottom.

[no_such_reality]

Where do you park your money during the interim?

Anywhere I want. 🙂

I’m not out because I’m attempting to time the market, I’m out because when I sold, I got disgusted with the competition and thought the prices were insane. Then they went up some more.

When I look around Irvine, Huntington Beach and see pretty standard tract homes with $1.1 Million price tags on them, and it’s all regular middle class families, it’s “just not right”.

I was looking for a modest 3/2 (just like everybody else), they were $799,000 and gone in a day. Once you break the “I want” stranglehold on your emotions with housing, the compromise becomes much easier.

My alternative, while not a 3/2 with a quaint yard, was to split a dual master bedroom townhome with a friend, a mile off the beach, in a complex with three pools, sauna, 2 tennis courts, 2 car garage, etc. Yep that’s a big difference. A roommate, townhome, I wanted an SFR and no roommates. You may wonder what could possibly make giving up what I wanted tolerable. The answer is simple.

My half the rent is 1/6th of the mortgage and tax payment of trying to buy something I wanted. Plus I have someone to pick up half the utilities!

Granted, my income tax bill sucketh. However, since I don’t have a fat mortgage payment, I can pretty much fly off any weekend I feel like getting out of town.

When buying that 3/2 or a larger 4/3 becomes closer to comparable rent, I’ll get going and not worry about the bottom.

[Alex_angel]

It took the Union Tribune 5 days to catch up and finally write about the rate hikes. What I meant about erie quiet is that news outlets didn’t even know the rate hikes happened. They all claim to have been “shocked” by the quick hike.

[Alex_angel]

It took the Union Tribune 5 days to catch up and finally write about the rate hikes. What I meant about erie quiet is that news outlets didn’t even know the rate hikes happened. They all claim to have been “shocked” by the quick hike.

[North County Jim]

Alex,

Don’t follow Rustico. You spelled ‘eerie’ correctly the first time.

[North County Jim]

Alex,

Don’t follow Rustico. You spelled ‘eerie’ correctly the first time.

[Anonymous]

Sounds reasonable, nsr, your rent vs. buy decision.

I wasn’t clear: where do you park your cash that you had for a downpayment? Money market? Or, are you trying to aggressively grow it? Just curious, as you sound like an intelligent person.

[Anonymous]

Sounds reasonable, nsr, your rent vs. buy decision.

I wasn’t clear: where do you park your cash that you had for a downpayment? Money market? Or, are you trying to aggressively grow it? Just curious, as you sound like an intelligent person.

[no_such_reality]

Actually, I understood. My anywhere comment was only partially tongue in cheek.

I’m young, so my investments are primarily scattered over domestic and international stocks. I buy individual stocks except in my 401K, where I have to hold mutual funds. I tend to use that to leverage my international portion of the portfolio.

Presently, I’m looking at trying an investment property back in the midwest. The cashflow numbers look like they work out and I may have a line a property management firm that I can leverage through extended family. I’m also searching through business ideas trying to find one I can buy or start up, buying would be better.

I’m not a bond fan, not enough growth over inflation unless I time it. I don’t bother with gold, because it requires too much market timing. My timing isn’t the best.

[no_such_reality]

Actually, I understood. My anywhere comment was only partially tongue in cheek.

I’m young, so my investments are primarily scattered over domestic and international stocks. I buy individual stocks except in my 401K, where I have to hold mutual funds. I tend to use that to leverage my international portion of the portfolio.

Presently, I’m looking at trying an investment property back in the midwest. The cashflow numbers look like they work out and I may have a line a property management firm that I can leverage through extended family. I’m also searching through business ideas trying to find one I can buy or start up, buying would be better.

I’m not a bond fan, not enough growth over inflation unless I time it. I don’t bother with gold, because it requires too much market timing. My timing isn’t the best.

[(former)FormerSanDiegan]

It took the Union Tribune 5 days to catch up and finally write about the rate hikes. What I meant about erie quiet is that news outlets didn’t even know the rate hikes happened. They all claim to have been “shocked” by the quick hike.

Maybe the U-T ignored the story, but the U-T does not equal the media. The interest rate spike was the top story on CNBC. I was sick at home on Monday and that’s all they could yammer about. Also, CNN.com covered it at great length, along with other media outlets such as the Wall Street Journal.

[(former)FormerSanDiegan]

It took the Union Tribune 5 days to catch up and finally write about the rate hikes. What I meant about erie quiet is that news outlets didn’t even know the rate hikes happened. They all claim to have been “shocked” by the quick hike.

Maybe the U-T ignored the story, but the U-T does not equal the media. The interest rate spike was the top story on CNBC. I was sick at home on Monday and that’s all they could yammer about. Also, CNN.com covered it at great length, along with other media outlets such as the Wall Street Journal.

[Alex_angel]

I agree that the UT is bad media, but it was funny how the local media tries not to be the bearer of bad news for local residents. This news is awful for current buyers and sellers. Now the waiting game will get longer and sooner or later the sellers are going to nose dive prices because the last bit of housing correction has been washed out by the latest interest hike.

Resets are going to BOMB!!!!

[Alex_angel]

I agree that the UT is bad media, but it was funny how the local media tries not to be the bearer of bad news for local residents. This news is awful for current buyers and sellers. Now the waiting game will get longer and sooner or later the sellers are going to nose dive prices because the last bit of housing correction has been washed out by the latest interest hike.

Resets are going to BOMB!!!!

[NotCranky]

North County Jim,
Alex doesn’t follow me.I am sure.
I recommend he is follow you until you make a spelling or other benign eerror.May good spellers rule the earth!
Best wishes

[Author]

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